New Issue: Rayovac upsizes 10-year notes to $350 million, yield 8½%

By Paul A. Harris

St. Louis, Sept. 26 - Rayovac Corp. priced an upsized offering of $350 million senior subordinated notes due Oct. 1, 2013 (B3/B-) at par Friday to yield 8½%, according to a syndicate source.

The deal was increased from an originally announced size of $300 million. Price talk was for a yield of 8½%-8¾%.

Banc of America Securities was the bookrunner on the Rule 144A deal. Citigroup and ABN Amro were co-managers.

Proceeds will be used to help finance Rayovac's acquisition of Remington Products Co. and retire Remington debt.

The issuer is a Madison, Wis.-based battery and lighting device company.

Issuer:	Rayovac Corp.
Amount:	$350 million (increased from $300 million)
Maturity:	Oct. 1, 2013
Security description:	Senior subordinated notes
Bookrunner:	Banc of America Securities
Co-managers:	Citigroup, ABN Amro
Coupon:	8½%
Price:	Par
Yield:	8½%
Spread:	442 basis points
Call features:	Callable after Oct. 1, 2008 at 104.25, then 102.833, 101.417, declining to par on Oct. 1, 2011 and thereafter
Equity clawback:	Until Oct. 1, 2006 for 35% at 108.50
Settlement date:	Sept. 30 (T+2)
Ratings:	Moody's: B3
	Standard & Poor's: B-
Rule 144A Cusip:	755081AC0
Price talk:	8½%-8¾%

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